IRDAI proposes Arogya Sanjeevani Policy offering life-long cover, no exit age. IndiGo co-founder Rakesh Gangwal seeks to ease rules on shareholdings. Tesla surpasses goal, delivers 367,500 electric vehicles in 2019. Federal Reserve might continue holding rates in the months to come. US factory activity contracts for the fifth straight month in December.
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An Insurance is Forever: The Insurance and Regulatory Authority of India (IRDAI) has mandated health and general insurance companies to offer a standardised product that will take care of the basic requirements of policyholders.
Dubbed Arogya Sanjeevani Policy, the policy shall offer life-long renewability with no exit age. Currently, insurers offer health insurance up to 75-80 or 90 years in select cases.
Irdai said general and health insurers should offer this product from April 1, 2020 onwards and don’t need any pre-approvals of the regulator. While IRDAI has fixed the minimum entry age as 18 and maximum as 65 years, the policy has no exit age and has provision for lifelong renewability. Here are 10 things one must know about the standard health insurance policy.
Brownie Points: With most New Year resolutions including some element of saving more or managing one’s finances better, lot many of us are actively raiding the internet for the best investment options. A lucrative option which pops up is mutual funds. However, one might have to grapple with a lot of jargon when investing in mutual funds - the different types of mutual funds, taxation etc. Here's a handy guide for all those looking to invest in mutual funds this new year.
Shoring Up: India’s largest private sector port operator, Adani Ports and Special Economic Zone Ltd (APSEZ), has agreed to buy a 75% stake in Krishnapatnam Port Co. Ltd (KPCL) at an enterprise value of ?13,500cr.
The deal is APSEZ’s biggest acquisition yet in India’s port sector in terms of value and size.
Currently, the port has a draft of 18.5 metres, a depth that can accommodate full-loaded Capesize vessels of 200,000-tonne capacity. Hindu BusinessLine
Hard to Get?: Cash-strapped Suzlon Energy Ltd has proposed banks to take 68% haircut to restructure its debt. This would mean that the lenders would have to take a hit of ?7,684cr and settling a ?11,300cr loan for ?3,616cr.
FYI: Lenders had earlier indicated a willingness to take a 50% haircut. Outlook India
Pushing for Change: Rakesh Gangwal, who co-founded IndiGo with Rahul Bhatia, is seeking to modify rules on the sale and purchase of shares by its main shareholders.
Gangwal, who alleged violations of corporate governance rules at the parent group in July is seeking to delete certain rules in the company's articles of association that give Bhatia the right of first refusal should Gangwal choose to sell his shares
Gangwal also wants to remove an article that prevents either of the co-founders from buying publicly-listed shares in InterGlobe. ET Markets
Feel the Heat Yet?: Airlines in India are likely to feel the heat of the increase in crude oil prices following the US air strike that killed a top Iranian General.
Oil prices surged 4% to around $70 in the aftermath of the air strike.
Jet fuel accounts for one-third of the costs for Indian carriers, which were already struggling when oil was hovering at $65-66 per barrel. If the conflict between the US and Iran worsens, and crude prices goes above $70-72 a barrel, “there’s a high chance that an Indian airline could go bust", noted two airline officials. Livemint
Extra Crunch: Ever wondered which are the world's most punctual airports and airlines? Here's a list - not one but two.
Aiming for the Summit: Electric automaker Tesla has surpassed its 2019 goal, delivering 367,500 electric vehicles in the last one year. This is 50% more than the deliveries made in the previous year — a record-breaking figure largely supported by sales of the cheaper Model 3.
Tesla share price rose 3.8% in trading Friday morning on back of the news.
However, as per this WSJ report, the road ahead for the Silicon Valley auto maker comes with a familiar challenge: execution. It also takes Tesla down a path in which its fortunes rest, to an unprecedented degree, on how it performs overseas—particularly in China, the electric vehicle maker’s top foreign market. Click link for the full scoop.
Well-Suited: Federal Reserve officials at their mid-December meeting said their monetary policy was likely to remain appropriate “for a time” even amid what they saw as persistent downside risks.
Officials “discussed how maintaining the current stance of policy for a time could be helpful for cushioning the economy from the global developments that have been weighing on economic activity,” the minutes said.
Hit Refresh: The Fed cut its benchmark rate at three consecutive meetings between July and October to a range between 1.5% and 1.75% in the backdrop of the global economic slowdown and US China trade war. Officials held the rate steady in December and indicated they felt no urgency to reverse those cuts anytime soon. Reuters
No Respite: Factory activity in the US contracted for the fifth straight month in December on the back of the ongoing US Chian trade tensions.
The Institute for Supply Management reported that its factory index fell to 47.2 in December from 48.1 in November - the lowest level since June 2009. CNN Business
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